Construct a pro forma income statement for the first and, Business Management

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Construct a pro forma income statement for the first and

Construct a pro forma income statement for the first and second year for the following assumptions:

Unit of Sales in a year 1: 100,000

Prices per Unit: $10

Variable cost per unit: 30%

Fixed Costs: $120,000

Income Taxes: 15%

Interest Expense: $200,000

In year 2 Price per unit increases to $11.50 and unit of sales increases by 3%, all other assumptions remain the same.

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Business Management: Construct a pro forma income statement for the first and

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Business Management: Construct a pro forma income statement for the first and

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